The report’s main findings: SAIs are active in assessing functions of the entire policy cycle

20 – 1 – SUPREME AUDIT INSTITUTIONS’ INPUT INTO THE POLICY CYCLE

The approach: Integrating perspectives of SAIs and the executive

In order to present realistic insights for SAI engagement in supporting and enhancing good governance, this report uses a collaborative approach that relies on expertise and input from SAIs and executive representatives. The ten peer SAIs that provided detailed input for this report are the Tribunal de Contas da União (TCU) of Brazil, which is the sponsor of the report, and Canada, Chile, France, Korea, the Netherlands, Poland, Portugal, South Africa and the United States. The SAIs of the European Union (EU), Mexico and the United Kingdom have also lent their expertise. These leading institutions are members of various committees and groups of the SAI community, representing both OECD member countries and key partners on five continents. While the ten peer SAIs of this report are not meant to provide a representative sample, this report shows an array of auditing practices that draw a common thread between participating SAIs, regardless of the model of the SAI or of assumptions of an SAIs’ traditional role.

This report recognises that countries differ in terms of the legal environment, political economies, audit models, and other factors that could influence the application of certain concepts in various countries. Notwithstanding differences between countries, a constructive dialogue depends on the openness of countries to benefit from the lessons learned of others, many of which are provided in this report. This report includes the perspective of the executive branch through relevant OECD networks, and consultation with representatives from participating countries.

The methodology: Rooted in international principles

The following chapters (2, 3 and 4) represent the formulation, implementation and evaluation stages of the policy cycle, respectively. As shown in Table 1.1 below, each policy stage is broken down into key functions. These policy functions are described with their “key elements”, rooted in international principles, that are required for their implementation, as well as challenges and good practices in doing so.

Each SAI was asked whether it had assessed particular “key elements” of each

policy function. The survey questions were not based on assumptions of the traditional role of SAIs in each policy stage. The summary results of this are shown in Table 1.2. Chapters 2, 3 and 4 report on how many SAIs assessed particular elements, and provide examples of the innovative ways that SAIs have done this. Each chapter provides information on the format of these SAI activities (whether a particular type of audit, evaluation or guidance) and the limitations that SAIs experienced in performing that activity.

Further, the end of each chapter includes a set of case studies, provided by the SAIs themselves as part of a survey, which offer more in-depth information on particular audit initiatives. Where possible, links to further reading are provided. Case studies are structured by: type of activity, objective, scope, methodology, criteria, resources, benefits, good practices, lessons learned and further reading.

SUPREME AUDIT INSTITUTIONS AND GOOD GOVERNANCE: OVERSIGHT, INSIGHT AND FORESIGHT © OECD 2016